U.S. Department of Transportation Federal Highway Administration	Notice Subject Debarment from Federal Nonprocurement Programs
	Classification Code	Date	Office of Primary Interest
	N2000.534	December 10, 2004	HCC-30

1. What is the purpose of this notice? The purpose of this notice is to advise that the Federal Highway Administration (FHWA) has debarred the following company and individuals:

   Argo Contracting Corp.
   5752 Webb Road
   Youngstown, OH 44515

   Larry Frangos
   5752 Webb Road
   Youngstown, OH 44515

   George Ginnis
   5752 Webb Road
   Youngstown, OH 44515

2. What actions have been taken?

   1. The FHWA has decided to debar the company and individuals cited above for a period of three (3) years. These debarments shall be retroactive from the date of their suspensions by the FHWA; DEBARMENTS EXPIRE: September 23, 2007.

   2. The company and individuals cited above have been notified in writing of this decision. Upon the signature of this notice by the debarring official, the suspensions of the company and individuals cited in paragraph 1 shall terminate, and their debarments shall become effective.

3. What is the scope of these actions?

   1. The company and individuals cited in paragraph 1 are prohibited from being participants or principals in any covered transaction, as defined in 68 Fed. Reg. 66533, 66547 (2003) (to be codified at 49 CFR Part 29, Subpart B). Generally, the company and individuals are prohibited from submitting a proposal for, or entering into, a covered transaction, or participating in a covered transaction as an officer, director, owner, partner, key employee, or other person with primary management or supervisory responsibilities, or one who has critical influence on or substantive control over the transaction, whether employed by a person who submits a proposal for, or enters into a covered transaction, including any procurement and nonprocurement transaction between an agency and a person. These debarments shall be effective throughout the Executive Branch of the Federal government.

   2. As stated in 68 Fed. Reg. 66533, 66546 (2003) (to be codified at 49 CFR 29.110), these debarments are consistent with the Federal government’s policy of using the discretionary action of debarment to conduct business only with responsible persons and companies, and to protect the public interest, the Federal government, and the integrity of Federal programs.

4. What is the cause for debarment?

   1. On or about October 10, 2003, Larry Frangos pled guilty to bribery in violation of 18 U.S.C. 666(a)(2). According to the plea agreement, Larry Frangos, on at least one occasion, participated in providing an improper cash payment of approximately $2,000 to an Ohio Department of Transportation (ODOT) bridge inspector in connection with Argo Contracting Corp.’s Federally funded bridge painting contract. Also, on or about October 30, 2003, George Ginnis pled guilty to a conspiracy to defraud the United States in violation of 18 U.S.C. 371. According to the plea agreement, George Ginnis, on more than one occasion, participated in providing improper cash payments and property worth approximately $2,000 to ODOT bridge inspectors in connection with Argo Contracting Corp.’s Federally funded bridge painting contracts. In return for the illegal payments provided by Larry Frangos and George Ginnis, the ODOT bridge inspectors made false representations, false statements, and false reports as to the quantity and quality of the work performed by Argo Contracting Corp.

   2. Larry Frangos, George Ginnis, and Argo Contracting Corp. have committed acts that are cause for debarment under 68 Fed. Reg. 66533, 66552 (2003) (to be codified at 49 CFR 29.800(a)(1)&(3)), a conviction for the commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public or private agreement or transaction, and a conviction for the commission of bribery. Additionally, since Larry Frangos’s and George Ginnis’s criminal activities occurred within the performance of the duties for or on behalf of Argo Contracting Corp, their criminal conduct may be imputed to Argo Contracting Corp. as provided at 68 Fed. Reg. 66533, 66551 (2003) (to be codified at 49 CFR 29.630(a)). Because Larry Frangos, George Ginnis, and Argo Contracting Corp. failed to respond to the FHWA’s notice proposing debarment within thirty (30) days, they have waived their rights to contest their debarment actions. Accordingly, after considering all the relevant information, I have determined that it is in the Federal government’s best interests that Larry Frangos, George Ginnis, and Argo Contracting Corp. be debarred for a period of three (3) years, retroactive from the date of their suspensions. As stated above, their debarments are effective until September 23, 2007.

   3. These debarments have been taken in accordance with 68 Fed. Reg. 66533, et seq. (to be codified at 49 CFR Part 29).

	King W. Gee Debarring Official

Related Sites:

FHWA Order 2000.2A

Executive Order 12549